Government’s food assistance programme to be revamped to ...

[Lazie]

Government’s food assistance programme to be revamped to assist the neediest

More relief is coming to help needy Jamaicans cope with increasing food prices.


Prime Minister Bruce Golding has announced that long term measures are to be put in place after March 31.

That is when the $500 million special assistance programme announced last month comes to an end.

Mr. Golding said Cabinet will be reviewing the programme to place extra attention on the neediest.

He said details will be outlined after the 2008/2009 Budget is completed.

Two weeks ago, Industry Minister Karl Samuda, outlined five items which were subsidised under the assistance package.

Import duties were removed from rice, counter flour, baking flour, oil and milk powder.

[Lazie]

PNP criticizes government’s food subsidy plan

The government's multi-million dollar subsidy programme meant to alleviate the plight of thousands of poor Jamaicans is being harshly criticised by the opposition People's National Party (PNP).

The party says the plan fails to address the problems caused by an inflation rate which now stands at a 12 year high.

In the face of the 2007 inflation coming out at the highest since 1996, the PNP says it's alarmed.

Opposition Spokesman on Finance Dr. Omar Davies says STATIN's data show inflation for November and December was equal to the figure reported for all of 2006.

The inflation rate for November was 2.5 per cent and 3.2 per cent in December.

The category that the former Finance Minister finds of major concern is "Food and Non-alcoholic Beverages".

The prices of items in that category have increased by nearly 25 per cent and Dr. Davies says it is a worry because that is were the poor spend the most of their money.

According to Dr. Davies, the decision to go the route of a generalised subsidy means the rich will reap the greatest benefit of the programme.

Dr. Davies is demanding that the $500 million subsidy package be revamped so that only Jamaicans from the poorest income groups benefit.

But the comments from Dr. Davies come less than 24 hours after Prime Minister Bruce Golding admitted that the $500 million subsidy is not being disbursed in the most effective way to the poor.

The Prime Minister said the process would be changed when the Government announces its new plan for the 2008-2009 fiscal year.

(I guess if Bruce didn't say anything the world best finance minister wouldn't have a clue!)